As the Colorado luxury real estate market continues to evolve, LIV Sotheby’s International Realty remains committed to helping consumers make sound financial decisions when it comes to the purchase or sale of a luxury home. Outlining the performance of the 2017 luxury real estate market in Colorado, LIV Sotheby’s International Realty recently released its year-end Residential Luxury Report, which compares January through December 2017 statistics, to those of 2016, for single family homes and condos priced $1M and above in Denver Metro (Adams, Arapahoe, Boulder, Broomfield, Denver, Douglas, Jefferson) and the Resort communities of Eagle County (Vail Valley, Avon, Beaver Creek, Bachelor Gulch, etc.) and Summit County (Breckenridge, Frisco, Copper, Dillon, Silverthorne, etc.). Statewide, the 2017 luxury real estate market delivered positive results, with appreciation in average sales price taking place across the board.
“With Denver metro, Boulder and Colorado’s famous Resort communities consistently ranked as some of the top places to live, work, and play, in the nation, the excellent performance of the 2017 luxury real estate market comes as no surprise,” said LIV Sotheby’s International Realty president, Scott Webber. “With Colorado continuously gaining notoriety nationally, and internationally, as an excellent place to invest, demand for luxury real estate in Colorado is projected for growth in 2018.”
In Denver metro and Boulder, total dollar volume sold increased 22.1% year-over-year, from 1,610 homes sold in January through December 2016, to 1,966 homes sold in 2017, surpassing $3B in total sales volume in 2017- the highest volume of sales to date. The increased demand for luxury home purchases stemmed from buyers’ continued confidence in both the national economy and desire to purchase luxury property in a state they believe offers an excellent investment opportunity.
In Resort areas, where the luxury market is highly saturated, market conditions differ from metro areas, yet delivered positive results in 2017. Colorado’s resort communities continue to draw both domestic and international buyers seeking close travel time between the bustling metropolis of Denver and the year-round recreational opportunities the mountain areas offer.
In Eagle County, the 2017 luxury market experienced an increased volume of activity, with the number of properties sold increasing 6.8%, to 407 properties sold in January through December 2017, compared to just 381 properties sold in 2016. Many sales took place in the mid-luxury range ($1.5m to $4m), with most buyers coming from the Front Range and internationally, from Latin America. Several eye-popping, off-market (outside of MLS) sales also took place in 2017; a $14,600,000, sale in August 2017, followed a $28,700,000 sale that took place just days later. These significant private sales serve as a testament to the strength of the Vail Valley real estate market.
Average price per square foot increased 3.7% year-over-year, and average days on the market decreased 19%, from 289 days in January through December 2016, to just 234 days in 2017, a good time frame for the resort luxury market, where homes typically stay on the market longer. The near 20% decrease in number of days on the market indicates consumers’ continued confidence in the Vail Valley real estate market, and willingness to spend more to purchase homes they truly desire.
In Summit County, luxury sales demonstrated significant increase with the number of properties sold increasing 46.9%, from 228 properties sold in January through December 2016, to 335 properties sold in January through December 2017. Average days on the market decreased 11.4% from 166 days in January through December 2016, to only 147 days year-over-year, an excellent timeframe for the resort luxury market.
“Low inventory levels coupled with steady market conditions mean properties are taking less time to sell and sellers are achieving prices closer to list price,” said Dan Fitchett Jr., LIV SIR managing broker, Vail Valley. “If these conditions continue, 2018 could be a good year to sell for those who have been waiting for the market to catch up to values experienced in 2007 and 2008.”
As Colorado continues to develop as a national leader in real estate, LIV Sotheby’s International Realty remains committed to helping consumers make better real estate decisions, whether purchasing or selling a home. Reports can be accessed at www.coloradomarketreports.com.
For more information, contact Brittanny Havard, director of communications, LIV Sotheby’s International Realty, at 303.486.3738. To list your home for sale with LIV Sotheby’s International Realty, please visit www.livsothebysrealty.com or call 303.893.3200.